The largest credit union in the nation, Navy Federal Credit Union (Navy Fed), had members worried today due to deposits that were delayed or missing. Navy Fed was posting updates on the problem on its Twitter and Facebook pages. This morning on its Facebook page, Navy Fed issued this message:
We’re experiencing a delay with deposits today and we’re working through a solution. Be assured your accounts are safe.
Currently members are unable to call to speak with representatives. Online and mobile banking are available. We'll share updates here as we work to resolve.
Many members replied to these posts claiming that the problem wasn’t a delay but deposits that were missing. One member wrote:
It's more than DELAYED, mine was in my account yesterday, today it's gone!
Another member wrote:
My money was deposited yesterday and it just disappeared.
In addition to missing deposits, members were angered about how Navy Fed was communicating to members about the problem. One member wrote on Facebook:
This is definitely unacceptable NFCU you guys could have sent something to the members letting us know what’s going on! Also how is it right we can’t call in to see what’s going on I shouldn’t have to get on social media to find out why I don’t have my direct deposit!!!!
In the early afternoon, Navy Fed reported that the problem had been resolved:
IMPORTANT UPDATE - 12:31pm ET
At this time, all deposits are back to normal. To see your latest account details, use online and mobile banking. For account-specific questions, you can now call a member representative. We apologize for any inconvenience.
Concerns About the Safety of Your Money at Banks and Credit Unions
These kinds of problems occasionally occur at banks and credit unions. The institutions typically are able to resolve them within a day. If you’re worried about deposits disappearing or other mistakes or fraud that can occur, please review my article Safety of Your Money at Banks - Fraudulent Transfers. Regulations exist to protect your money. The most important thing for consumers to do is to regularly monitor their accounts and report any unauthorized transaction to the institution.
Deposit delay problems have the potential to trigger overdrafts by those depending on the deposit for payments or debit card purchases. It could also trigger overdrafts by those who are trying to transfer out money.
For those who did receive an overdraft charge at Navy Fed due to this problem, you should request for an overdraft reimbursement. I think it’s likely that Navy Fed will automatically reimburse members who received overdraft fees due to this deposit delay. If members received charges from their payees for insufficient funds due to this deposit delay, members should contact Navy Fed and ask for reimbursement.
Tips To Avoid Problems When Deposit Delays Occur
For the future, here are a few tips to avoid problems when deposit delays occur:
- Maintain a cash cushion in your accounts. This is another example of why an emergency fund can be useful.
- If you’re writing a check from your account or making an electronic payment or withdrawal, it’s a good idea to log into your account and confirm your available balance. As this example shows, deposits can be delayed.
- Open a free checking account and savings account at an internet bank. Several internet banks offer both a free savings account and a free checking account without minimum balance requirements. It’s easy to link an online account to your existing checking account allowing for electronic transfer of funds between accounts.
- Review your ChexSystem report annually. Most banks and credit unions use ChexSystems to determine if applicants will be approved. A negative record in ChexSystem can come from overdrawing accounts, and that can result in being blacklisted from opening bank accounts. Consumers can request a free copy of their report once a year from this ChexSystem page.
Navy Fed Overview
Navy Fed is considered to be the largest credit union in the world. Headquartered in Vienna, Virginia, Navy Federal has grown from its initial seven members in 1933, with more than 8,100,000 members and assets in excess of $95 billion.
Navy Fed has been popular with savers due to its long history of competitive CD and IRA CD rates. Over the years, Navy Fed has expanded its membership, and many people with just loose connections to the military can now qualify. Please refer to this review of Navy Fed’s latest offers for more details.
Navy Federal Credit Union has an overall health grade of "A" at DepositAccounts.com, with a Texas Ratio of 6.15% (excellent) based on September 30, 2018 data. In the past year, Navy Fed has increased its total non-brokered deposits by $7.84 billion, an excellent annual growth rate of 12.74%. Please refer to our financial overview of Navy Federal Credit Union (NCUA Charter # 5536) for more details.